Technical Oil (2010-05-04)

By IBT Staff Reporter On 05/04/10 AT 2:08 AM

Morning Report

Oil succeeded in reaching the first technical objective of 87.05 and then the trading started to be trapped between 85.60-support- and the pivotal resistance of the bullish channel at 86.60. The negative pressure increases gradually and that makes us watch out the tradingof today carefully. A break of 85.60 could send the price down towards 84.15, while a breakout above 86.60 will bring the bullishness back.

The trading range for today is among the key support at 84.15 and the key resistance at 88.00.

The short term trend is expected to the upside as far as 65.60 remains intact with targets at 90.00.

Weekly ReportPrevious Report

Support85.6084.6584.1583.4082.90Resistance86.6087.0587.5088.0088.70RecommendationBased on the charts and explanations above our opinion is, waiting until a clear sign to appear in order to pinpoint the coming big move.